Amazon forced to hand out checks from Prime’s record ‘misleading’ $2.5 billion settlement...
Amazon is distributing $2.5 billion to settle FTC claims that it misled customers regarding its Prime subscription service and cancellation process.Summary
Amazon is required to issue payments to claimants from a $2.5 billion settlement resulting from accusations by the Federal Trade Commission (FTC) that it misled customers about its Prime subscription service. The FTC alleged that Amazon made the cancellation process deliberately difficult and confusing, and used “sophisticated subscription traps” to enroll customers. While Amazon maintains it followed the law, it agreed to the payout to avoid further litigation. Payments are being automatically distributed to eligible Prime members who signed up between June 23, 2019, and June 23, 2025, and either attempted to cancel unsuccessfully or enrolled through specific website pages. Claimants who used their Prime benefits more than three times a year are ineligible, and the maximum payout per claimant is $551. FTC Chairman Andrew N. Ferguson stated the settlement aims to return funds to consumers and prevent Amazon from repeating these practices.
(Source：The Sun)